LG Electronics Inc. and Toshiba Corporation today announced that they have signed a patent cross licensing agreement for optical disc related products, providing each company with access to the related patents and technologies of the other. The agreement covers each company’s worldwide patents for optical discs and for the optical disc drives, players and recorders that use them. The agreement is expected to bring benefits to both companies in terms of expediting product development and reducing development costs for optical disc related products, including next-generation DVDs.

The market for optical disc products continues to see robust growth, in line with the proliferation of high-definition content and ever-increasing needs for large capacity storage requirements. In the fast growing market for digital consumer electronics, optical disc related equipment is finding an increasingly prominent role. Toshiba and LG Electronics have responded to this with a patent-sharing agreement covering optical disc products that targets reinforced product development capabilities and accelerated product development for each company.

LG Electronics Inc. is one of the global leading companies in the field of optical disc related products.

Toshiba, a global leader in optical disc technology, made substantial contributions to defining today’s DVD specifications, and commercialized the world’s first DVD player.

“Both companies expect mutual benefit in the field of optical discs related products through this agreement.”, said Mr. B.B.Hwang, President and CEO, Digital Media Company, LG Electronics Inc.

“This agreement is part of our strategy of promoting mutually beneficial cooperation with leading global electronics companies,” said Mr. Yoshihide Fujii, President and CEO, Digital Media Network Company, Toshiba Corporation. “Our goal is to reinforce our ability to bring competitive products to the rapidly growing optical media product marketplace at a faster rate.”